NNG15SD27B-064.docx

FedBizOpps Award Notice

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* = Required Field FedBizOpps Award Notice Rev. March 2010 D TAC-18-52218_SAP Business Objects and Crystal Reports 07724 36C10B18Q3130 N 541519 Department of Veterans Affairs Technology Acquisition Center 23 Christopher Way Eatontown NJ 07724 Tinamarie Giraud Tinamarie.Giraud@va.gov 732-440-9641.

NNG15SD27B 36C10B18F2894

$222,941.34 09-10-2018

V3GATE, LLC

808862598

6060 HOLLOW TREE CT

COLORADO SPRINGS

CO

80918

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

2. Description of Action: This proposed action is for a firm-fixed-price (FFP) delivery order (DO) issued under the National Aeronautics and Space Administration (NASA) Solutions for Enterprise-Wide Procurement (SEWP) V Government-Wide Acquisition Contract (GWAC) to acquire software maintenance support for existing brand name SAP Business Object Enterprise Software Licenses.

3. Description of the Supplies or Services: The Department of Veterans Affairs (VA), Office of Information Technology (OIT) has a requirement for brand name maintenance and support services for previously purchased SAP Business Object Enterprise Software Licenses which include Web Intelligence, Crystal Reports Developer, Business Object Enterprise Premium, Crystal Xcelsius WorkGroup, Crystal Reports Professional, and Premium Test/Developer. The software allows business users to generate reports from the VA Claims Processes and Eligibility Database. Customer service representatives rely on the reporting functionality of the software to properly assist Veterans. The maintenance support shall include software updates, upgrades, patches, and fixes, as well as online and telephone technical support 24 hours per day, 7 days per week, 365 days a year (24X7X365). The period of performance for this action is a 12-month base period with one, 12-month option period for continued support services. The total estimated price of the proposed action, inclusive of the options,

4. Statutory Authority: The statutory authority permitting this exception to fair opportunity is Federal Acquisition Regulation (FAR) Subpart 16.505(b)(2)(i)(b) entitled, “Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized.”

5. Rationale Supporting Use of Authority Cited Above: Based on extensive market research, as described in paragraph 8 of this document, it was determined that limited competition is viable among authorized resellers for brand name maintenance and technical support services for previously purchased SAP Business Object Enterprise Software Licenses. VA’s only requirement is to renew the maintenance and technical support for existing SAP Business Object Enterprise Software supporting the Massachusetts General Hospital Utility Multi-Programming System/Cache environment. Only SAP or an authorized reseller can provide the requisite software maintenance as no other vendor has the ability or data rights to access the software source code in order to develop and push software updates, patches, or provide technical support on its products. Specifically, if any other source was to provide these maintenance services without the SAP proprietary source code, it would not be able to push upgrades to the existing software or fix, and configure the services provided to the software. Access to the proprietary source code is critical to meet VA’s need to maintain SAP software as operational ,and lack of annual maintenance and support could result in the loss of reporting capabilities for several congressionally mandated programs such as Civilian Health and Medical Program of VA, Spina Bifida, Children of Women Vietnam Veterans, CareGiver, and the Foreign Medical Program. Thus, only SAP software maintenance can meet the Government’s requirements.

6. Efforts to Obtain Competition: Market research was conducted, details of which are in the market research section of this document. This effort did not yield any additional sources that can meet the Government’s requirements. It was determined however that limited competition is viable among authorized resellers of SAP maintenance and technical support. In accordance with FAR 5.301 and 16.505(b)(2)(ii)(D), the resulting award be announced on the Federal Business Opportunities Page, and this Justification for an Exception to Fair Opportunity will be made publicly available. This Justification for an Exception to Fair Opportunity will be posted on NASA SEWP V website with the solicitation.

7. Actions to Increase Competition: In order to remove or overcome barriers to competition in future acquisitions for this requirement, the agency will work with the program office to continue to perform market research to consider and ascertain if any other sources can provide these services in the future.

8. Market Research: The Government’s technical experts conducted market research in August 2018 by reviewing similar maintenance and support services offered by other manufacturers including Microsoft, Oracle and Tableau. As a result of the market research, the technical experts confirmed that the source code required to issue the updates is proprietary, and therefore, only SAP or its authorized resellers have the tools and can access the source code and other proprietary data to provide the necessary maintenance and technical support.

Additionally, in August 2018 the TAC conducted market research by using Provider Look Up Tool on the NASA SEWP V GWAC website. The tool revealed multiple resellers of SAP products and maintenance support, including multiple verified Service Disabled Veteran Owned Small Business (SDVOSB) resellers in Group B2. Therefore, based on the results of the market research, there is reasonable expectation that limited competition exists among verified SDVOSB contract holders in Group B(2) of the NASA SEWP V GWAC.

9. Other Facts: None